Multiplex operator Inox Leisure plans to invest Rs 200 crore

NEW DELHI: Multiplex operator Inox Leisure plans to invest Rs 200 crore to add up to 60 cinema screens across the country this fiscal. “In addition to one property, five screens and 617 seats (already opened), we expect to open another 12 properties, 54 screens and 10,786 seats this financial year,” Deepak Asher, Inox Leisure Director and Group Head, told analysts during a conference call on Wednesday.

“The total capital expenditure that we intend to incur on this pipeline at least for 2016-17 is roughly Rs 200 crore, which would be funded essentially by 60:40 debt equity. So, the debt required will be about Rs 120 crore and equity about Rs 80 crore.” Asher said post these additions, Inox Leisure will operate 479 screens through 120 properties by 2016-17.

Asked if the company is also looking at acquisitions to grow its presence, he said: “I think there is still room for further consolidation. If we look at how the multiplex industry is structured, there are about 2,100 screens inIndia today, of which about 1,500 belong to the four large chains, which are PVR, Inox, Carnival and Cinepolis, which means there are about 600-700 screens that belong to others.”